1. Introduction:Investing is one of the best ways of safeguarding future. When money is invested wisely income is earned. Money reserved in savings accounts earn interests that are often not in pace with inflation. We need to explore options to find the best place to invest funds at least to overcome inflation by a sizable amount. There is always certain amount of risk in any investment, but with analysis and research we can minimize that risk. Understanding the historical financial performance of companies forms the basis for estimating risk.

We are an informal Shareholders Club with a capital of £6,000 available to invest in equity shares of three companies. We have chosen Kraft foods Inc., Bharti Airtel Ltd. and British Petroleum. A detailed financial and risk analysis is done before arriving at the investment decision.

Kraft Foods Inc. (NASDAQ: KRFT) is North America's fourth largest consumer packaged food and beverage company. British Petroleum Plc (NYSE: BP PLC (BP)) is a British multinational oil and gas company. Bharti Airtel Ltd (NSE: BHARTIARTL), is the largest telecommunication service provider company in India. Firstly, we have done the financial analysis of the Industry in which these companies operate. We then narrowed down to the financial and risk analysis. As these three companies belong to different industries, we cascade the analysis of each company. 2.Kraft Foods Inc.

2.1Company ProfileKraft Foods Inc. (NASDAQ: KRFT) is North America's fourth largest consumer packaged food and beverage company, with revenues of approximately $19 billion in 2011. It is newly public and independent as of Oct 1, 2012. Our study and research is limited to Kraft foods Inc. before the split which has been announced recently. For analysis purposes we assume Kraft Foods as one entity only. Kraft Foods is a member of the Standard & Poor's 500 index (Kraft 2011 annual report) 2.2Industry Analysis

Food processing sector has the ability to provide progressive investment returns regularly. Food Processing stocks have been delivering high annual total returns (share-price appreciation and dividends), with much less volatility than the broader market indexes. Food stocks are appropriate to conservative investors with little forbearances of share-price uncertainty. Food stocks have stable growth, ample interest coverage, and solid balance sheets. These stocks are considered as "safe harbor" choices during major economic and stock market recessions (Liew, 2012). 2.3Company Analysis

The original Kraft Foods Inc., founded in 1909, split into two companies in 1st Oct 2012, allowing its international snacks business, called Mondelez International Inc. (MDLZ), to push products into emerging markets and make acquisitions. At the same time, Kraft Foods Group Chief Executive Officer Tony Vernon is working to expand the slower-growing grocery business in the U.S. by boosting marketing...

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Wal-Mart
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Response: The financial health of Wal-Mart can be observed in the Exhibit mentioned in the case study. We have analyzed various ratios in order to gauge the financial health of the firm.
Liquidity Ratio:
Liquidity ratios |
| 2004 | 2005 |
Current ratio | 0.91 | 0.90 |
Quick ratio | 0.21 | 0.21 |
Cash ratio | 0.14 | 0.13 |
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